A System Dynamics Approach to Unlock the Complexity of the S&OP in Virtual Enterprises

R. Assis, L.A. Santa-Eulalia, F. Armellini, R. Anholon, I.S. Rampasso, F.M. Guerrini, Moacir Godinho Filho () and W. Paula Ferreira
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Moacir Godinho Filho: Métis Lab EM Normandie - EM Normandie - École de Management de Normandie = EM Normandie Business School

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Abstract: Virtual Enterprise (VE) enables organisations to compete by strengthening their core competencies and sharing risks through collaboration. However, for manufacturing-based VE, the literature fails to provide adequate simulation-based methods for understanding the complex behaviour of the production planning step at the tactical level, known as Aggregate Production Planning or Sales & Operations Planning (S&OP). In this context, this paper proposes a novel System Dynamics-based model to help to understand the dynamic behaviour of S&OP in VE. Results suggest the efficiency of the proposed model, including its ability to straightforwardly make simulation-based S&OP scenarios comparisons, thus expanding the analytic decision-making capacity of managers desiring to push the limits of traditional S&OP in VE. \textcopyright 2023 Informa UK Limited, trading as Taylor & Francis Group.

Keywords: Aggregate production planning; Aggregates; Collaborative network; Collaborative networks; Complex networks; Core competencies; Decision making; Operation planning; Production control; Sale & operation planning; Sales & Operations Planning; Sales operation; Simulation modelling; Simulation-modelling; System dynamics; System Dynamics; System dynamics approach; System theory; Virtual corporation; Virtual enterprise; Virtual enterprises (search for similar items in EconPapers)
Date: 2023
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Published in Enterprise Information Systems, 2023, 17 (12), ⟨10.1080/17517575.2023.2203430⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04277171

DOI: 10.1080/17517575.2023.2203430

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